Class Action Filed Against Motorcar Parts & Accessories
30 August 1999
Whittington, von Sternberg, Emerson & Wilsher, L.L.P. Files Class Action Against Motorcar Parts & AccessoriesHOUSTON, Aug. 27 -- Notice is hereby given that a class action lawsuit has been filed against Motorcar Parts & Accessories, Inc. ; ("Motorcar" or the "Company") and three of its senior officers and directors in the United States District Court for the Southern District of New York. The lawsuit was filed by the law firm of Whittington, von Sternberg, Emerson & Wilsher, L.L.P. on behalf of persons who purchased Motorcar common stock in the open market during the period August 1, 1996 through July 30, 1999, inclusive (the "Class Period"). The Complaint charges that defendants violated the U.S. securities laws by issuing materially false and misleading statements and by emitting material facts required to be disclosed so as to make the statements issued not materially false and misleading. Specifically, the Company misrepresented its revenues and earnings throughout the Class Period in an effort to inflate the value of its stock. Motorcar's stock traded as high as $20-1/2 on September 30, 1997 and April 22, 1998. Following the Company's announcement on May 24, 1999 that the Company's CEO, Mel Marks, had resigned and that it anticipated a substantial loss for the fiscal year ending March 30, 1999, Motorcar stock lost 36 percent of its value in one day. When on August 1, 1999 the Company announced that its financial results of fiscal years 1997, 1998 and 1999 would have to be restated, Motorcar stock fell even further, dropping to $5.156 per share on August 2, 1999, the Nasdaq halted trading of Motorcar stock until the Company fully satisfied its request for additional information. Any person or entity who purchased Motorcar securities during the period August 1, 1996 through July 30, 1999 and who desires to be appointed lead plaintiff in this action must file a motion seeking such appointment with the Court no later than sixty (60) days after August 4, 1999. Class members must meet certain legal requirements to serve as a lead plaintiff. This lawsuit has been filed by lawyers with substantial experience in representing investors in securities fraud class action lawsuits such as this. If you have questions or information regarding this action, or if you are interested in serving as a lead plaintiff in this action, you may contact: John G. Emerson, Jr. or Craig von Sternberg Whittington, von Sternberg, Emerson & Wilsher, L.L.P. 2600 S. Gessner, Suite 600 Houston, TX 77063 Telephone: 713-789-8850 Fax: 713-789-0033 e-mail: je-mlaw@worldnet.att.net